In 1986, the Red Wings hired Jacques Demers as their 22nd coach in franchise history. Not only did the Red Wings make the playoffs in each of Demers' first two seasons, but they advanced to the Campbell Conference finals each season and lost to the Edmonton Oilers in five games both times.

Demers made the 21-year-old Steve Yzerman the youngest captain in NHL history for a squad that featured other young players like Gerard Gallant, Petr Klima, Bob Probert, Shawn Burr, Adam Oates, Joe Kocur and Steve Chiasson, as well as veterans like Dave Barr, Lee Norwood, Tim Higgins, Gilbert Delorme and Harold Snepsts.

Demers won the Jack Adams Award as the NHL's coach of the year in both 1986-87 and 1987-88. Demers is fifth all-time on the Red Wings' coaching list in wins, producing a 137-136-47 record in the four seasons that he worked behind the bench in Detroit.